Introduction

Mafab Communications is reportedly transferring its 5G spectrum assets to MTN Nigeria as the Nigerian Communications Commission intensifies a broader clean-up of the nation's telecom airwaves. The move could signal a significant reshuffling of Nigeria's scarce spectrum resources and mark the end of Mafab's brief tenure as a 5G operator.

What Happened

The proposed transaction covers Mafab's 2x20 MHz holding in the 2.1 GHz band and a 100 MHz block in the 3.5 GHz band, according to sources familiar with the matter. The deal remains pending regulatory approval. Mafab paid $273.6 million in 2021 to secure its 5G slot during Nigeria's first spectrum auction, becoming one of the country's two initial 5G operators. However, building a network from scratch as a greenfield operator proved immensely challenging. Unlike established players like MTN and Airtel, which leveraged existing towers, fibre backhaul, and infrastructure, Mafab faced regulatory delays, foreign-exchange headwinds, and steep costs for imported equipment. Launch events in early 2023 were constrained by incomplete rollout, prompting the company to adopt a phased approach focusing on Abuja and Kano before expanding to other markets. Despite these efforts, 5G adoption across Nigeria remained modest, reaching roughly 4.61% of total mobile connections, representing about 4.5 million to 5 million active 5G connections as of June 2026.

Why This Matters

The transfer is part of the NCC's wider effort to prevent valuable spectrum from sitting idle. The regulator requires operators to submit utilisation and interference reports, aiming to increase efficiency and ensure scarce airwaves serve the public interest. Industry observers note the deal could trigger a musical chairs scenario where MTN may need to relinquish some existing holdings to avoid concentration risks. The move also highlights the growing role of Nigeria's secondary spectrum market, which has already seen assets shift from Megatech Engineering to Globacom and from defunct NITEL assets to ntel. For consumers, the reshuffle could mean more consistent network performance, while competitors watch closely how the regulator balances ownership concentration against market competition.

Key Takeaways

  • Mafab is transferring its 2x20 MHz (2.1 GHz) and 100 MHz (3.5 GHz) spectrum holdings to MTN Nigeria.
  • The transaction remains pending regulatory approval from the NCC.
  • Mafab's 2021 auction investment of $273.6 million reflects the high cost of entering Nigeria's 5G market.
  • The NCC's clean-up aims to redirect underutilised spectrum to operators with the infrastructure to deploy it.
  • A secondary spectrum market is already active, with deals involving Megatech, Globacom, and ntel.
  • Regulatory musical chairs may require MTN to offload some existing spectrum to prevent concentration.
  • 5G adoption in Nigeria stood at approximately 4.61% of total mobile connections as of June 2026.

Conclusion

Mafab's potential spectrum transfer to MTN underscores the NCC's commitment to active, efficient spectrum management in Nigeria's rapidly evolving telecom sector. As the regulator pushes for disciplined usage and broader market participation, stakeholders will be watching closely to see whether the deal clears approval and how it reshapes the country's 5G landscape. Readers should keep an eye on NCC announcements and any subsequent spectrum reallocations that could affect network coverage and competition in the coming months.